Hill City Capital Closes $93.25M Buy of Spirit's Dania Beach HQ

DPC HoldCo LLC, an affiliate of Boston-based Hill City Capital, won Spirit Airlines’ former Dania Beach headquarters campus for $93.25 million cash at an August 11 bankruptcy auction, beating its own $88 million stalking-horse bid by $5.25 million. A court approval hearing is set for August 19.

Why it matters

This closes the loop The American Developer opened on August 1, when Hill City’s $88 million stalking-horse offer set the floor for the 8.3-acre campus at 1731 Radiant Drive. The auction drew enough competing interest to push the price up 6% from that floor, meaning the market found real price discovery rather than just rubber-stamping the opening bid. For developers and investors underwriting large single-tenant office and campus assets near Fort Lauderdale-Hollywood International Airport, $93.25 million is now the court-tested comp, not $88 million. The same buyer still walked away with the site at roughly a two-thirds discount to what Spirit’s own bankruptcy schedules carried the buildings at.

The numbers

The winning $93.25 million cash bid covers the same 8.3-acre, four-building complex Hill City originally bid on: a 180,000-square-foot, six-story office building, an amenity building, a flight-operations training facility, and housing for up to 400 visiting workers. Spirit’s bankruptcy schedules valued the four buildings alone at $288 million, so the closing price sits about 68% below that book figure. The deal was brokered by Eastdil Secured. Bidding lifted the price $5.25 million above Hill City’s own $88 million stalking-horse offer, the increment competing bidders were willing to pay to take the site from the party that set the floor.

What’s next

The sale still needs a bankruptcy judge’s sign-off at the August 19 hearing in Spirit Aviation Holdings’ Chapter 11 case before it closes. Spirit is expected to keep a small footprint in the building through October to finish winding down operations regardless of the outcome. Developers tracking office-to-alternative-use conversions in Miami and greater Broward now have a closed, cash transaction to underwrite against instead of an opening bid.